Under IAS 36/AASB 136 Impairment of Assets, Which of the Following

question 26

Multiple Choice

Under IAS 36/AASB 136 Impairment of Assets, which of the following statements are true?
I. When an asset's carrying amount is less than its recoverable amount the asset is said to suffer impairment.
II. Impairment losses are accounted for as a revaluation decrease if the revaluation model is used.
III. Impairment losses must be recognised as an expense in that period if the cost model is used.

• A) None of the above
• B) I and III only
• C) II and III only
• D) I, II and III

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Definitions:

Criteria

Standards or benchmarks on which judgments or decisions can be based.

Percent

A way of expressing a number as a fraction of 100, used to describe proportions or ratios.

DSM-5

The Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, a handbook used by healthcare professionals as the authoritative guide to the diagnosis of mental disorders.

Autism Spectrum Disorder

A developmental disorder characterized by difficulties in social interaction and communication, and by restricted or repetitive patterns of thought and behavior.